Legal Distinctions and Implications of Convertible Notes Versus Equity for Startups In the fast-paced world of startups, raising capital is not just about money—it’s about the terms that define your relationship with investors. Among the most debated instruments in startup financing are convertible notes and equity investments. Each has its unique legal framework, benefits, and risks, making it crucial for founders and investors to choose wisely.

In the bustling landscape of Indian startups, securing venture capital (VC) has become the lifeblood for scaling innovative businesses. With